Why Albertsons Stock Rose as Much as 20% This Week
Shares of Albertsons Companies (NYSE: ACI), a grocery chain with more than 2,250 locations, rose as much as 20.4% this week according to data from S&P Global Market Intelligence. As trading got underway on Friday March 4, the stock was still higher by a whopping 20% or so. An announcement on Monday drove the big gains.
Albertsons is one of the largest grocery chains in the United States. That said, it only came public in June 2020 and it wasn't an easy initial public offering (IPO). Originally seeking to sell 65.8 million shares for between $18 and $20 per share, the company ended up selling just 50 million shares for $16 a piece. From day one, basically, investors seem to have viewed the company with a bit of skepticism. The stock has risen since its IPO, but the board clearly still believes the company is undervalued.
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Source Fool.com
